Certified payroll for California public works contractors
Prevailing wage rates, certified payroll records, and state reporting handled for you, so paperwork never holds up a progress payment.
Certified Payroll
For public works contractorsPublic work pays well and comes with paperwork. Contractors and subcontractors on most California public works projects must pay the prevailing wage for each worker's classification and submit certified payroll records to the Labor Commissioner through the Department of Industrial Relations (DIR) online system, at least monthly or more often if the contract says so. A few agencies, including Caltrans and Sacramento County, collect them through their own compliance programs instead. Fall behind on certified payroll and the awarding body can hold your payments until it is fixed.
We run the payroll side of the job. You tell us the hours and the type of work each worker did on each job. We apply the matching rate from that job's wage determination, run payroll, and prepare the certified payroll for your sign-off, then submit it once you approve. The books stay job-costed, so you can see what each project made.
You or an officer of your company sign the statement of compliance. Apprenticeship requests and any appeal of a Labor Commissioner assessment stay with you and your attorney; we supply the payroll records they need.
What certified payroll covers
- Your DIR public works registration checked when you bring us a job, with a reminder before each July 1 renewal
- Prevailing wage rates set up by craft, classification, and county from each job's wage determination
- Hours tracked by job and type of work, so each worker's hours carry the rate for the work they did
- Certified payroll for each pay period, prepared for your sign-off and submitted to DIR or the awarding agency's compliance program
- Federal certified payrolls for Davis-Bacon and Related Acts jobs, commonly on form WH-347
- Fringe benefit and training fund contributions tracked job by job
- Job costing in your QuickBooks books, so you can see what each public job actually earned
Where this fits
Your first public bid
You won, or are about to bid on, your first school, city, county, or Caltrans job and need payroll that holds up from the first pay period.
Subcontractors with crews
Fencing, flooring, roofing, concrete, electrical: crews that split their week between private jobs and public ones, each at its own rate.
Contractors with a notice
Payments on hold or a letter about missing or incorrect records. We find what was missed, correct the payroll records, and get reporting back on schedule. Already received a Labor Commissioner assessment? You have 60 days to request review, so bring in your attorney right away.
What working together looks like
Job setup
We confirm your DIR registration, pull the wage determination for each job, and set up the classifications and rates before the first pay run.
Each pay period
You send hours and the type of work by job and worker. We run payroll at the matching rates and prepare the certified payroll; you sign off and we submit it.
Job-costed books
Wages, fringes, and payroll taxes post to each job in QuickBooks, so you can see what every project actually earned.
Certified payroll, answered
What is certified payroll?
A payroll record for each pay period on a public works job, usually weekly. It lists each worker's classification, hours, pay rate, fringe benefits, and deductions, and the contractor certifies under penalty of perjury that the prevailing wage was paid. In California it goes to the Labor Commissioner through DIR's online system at least monthly, unless the awarding agency runs its own compliance program, as Caltrans and Sacramento County do. Federal Davis-Bacon jobs need weekly certified payrolls, commonly on form WH-347.
Do I have to register with DIR before bidding public work?
For most California public works, yes. Contractors and subcontractors must be registered with the Department of Industrial Relations before they bid or work on the job, and the registration must be renewed each fiscal year, July 1 to June 30 (currently $400 for one year). Small projects are exempt. We check your registration when you bring us a job and remind you before each July 1 renewal.
What happens if certified payroll is late or wrong?
The awarding body can hold back contract payments until the records are complete, and the Labor Commissioner can assess penalties. A wrong classification or rate can also mean back wages owed to the crew. Matching each worker's work to the right classification and rate at setup, and checking it every pay period, prevents most of it.
My job has federal money in it. Is that different?
Often. Jobs covered by the Davis-Bacon and Related Acts add federal requirements on top of California's, including weekly certified payrolls, commonly on form WH-347. When a job falls under both, workers get the higher of the state and federal rates, and we prepare both sets of reports.
Can you take over in the middle of a project?
Yes. We reconcile what has already been reported against what was actually paid, correct any gaps, and take over the reporting from there.
Bidding public work?
Tell us how many public jobs and crews you run, and we will quote certified payroll in writing before any work starts.